1.In this Regulation, “fund” means an endowment fund or a subscription fund in which contributions received as donations and their yield and return are accumulated exclusively.

O.C. 957-2008, s. 1.

2.The authorization of the Minister of Finance and that of the Minister responsible for the administration of the Act governing the body, provided for in the first paragraph of section 77.2 of the Financial Administration Act (chapter A-6.001), are not required by a university establishment that, in the context of the management of a fund, makes investments, if

(1) an investment policy applicable to the fund is adopted by the university establishment and the fund is managed pursuant to the policy;

(2) the management of the endowment fund is entrusted to

(a) an employee of the university establishment;

(b) an adviser within the meaning of the Securities Act (chapter V-1.1);

(c) a natural person residing outside Québec and whose management activities are authorized by the supervisory and regulatory authorities pursuant to the laws applicable to the natural person; or

(d) a legal person or a joint-stock company or partnership constituted outside Québec whose management activities are authorized by the supervisory and regulatory authorities pursuant to the laws applicable to the legal person or the company or partnership.

(3) no debit balance is created; management fees incurred and capital losses do not exceed the capital entrusted to management; and

(4) no borrowing is made for management purposes.

O.C. 957-2008, s. 2.

3.The authorization of the Minister of Finance provided for in the first paragraphs of sections 79 and 80 of the Financial Administration Act (chapter A-6.001) is not required in respect of currency exchange or interest rate exchange agreements, and the financial instruments or contracts when the transaction is concluded by a university establishment in the context of the management of a fund for the sole purpose of reducing financial risks and the conditions set out in section 2 are met.

O.C. 957-2008, s. 3.

4.A university establishment is to file with the Minister of Finance its investment policy and any amendment made to it. It must also file annually a certificate of compliance with this Regulation and a report stating the amount outstanding at the end of the fiscal year and the rate of return obtained for that period.